Xingxing to Build Two $1.08B Factories in the SCZONE

The Xinxing Cathay International Group will be investing a significant amount of $1.08 billion for the construction of two factories within the Suez Canal Economic Zone (SCZone). These details were revealed during a meeting by the Head of Xinxing, Jia Shirui. For one of the factories, the company plans to pump nearly $147 million to manufacture cast iron pipes. The aim is to produce up to 250,000 pipes per year, with a substantial 80% targeted for exports while the remainder will cater to the local market. The Chinese firm also intends to invest a whopping $930 million into the expansion of a steel factory. The intention is to increase the annual production quantity to 700,000 tons of hot-rolled coils and 300,000 tons of hot-rolled sheets. It is anticipated that around 80% of these products will be exported with the rest serving local needs. Adding to the building developments, an area of 21,000 square meters will be allotted to the factory already existing in the Sokhna Industrial Zone as a result of an agreement signed with Chinese Hengtong earlier this month. Investment of $18 million is expected to increase the factory's production to two million kilometres of optic cables annually. The meeting also raised discussion on ways to multiply the volume of Chinese investments in Egypt, as stated by Prime Minister Mostafa Madbouly. These massive investments signify an optimistic outlook for both China's and Egypt's economies.